African Central Government Debt

Statistical Yearbook

This annual report provides comprehensive and consistent information on African central government debt statistics for the period 2003 onwards. Detailed quantitative information on central government debt instruments is provided for 17 African countries. Country policy notes provide background information on debt issuance as well as on the institutional and regulatory framework governing debt management policy.

This publication provides comprehensive and consistent information on African central government debt statistics for the period 2003-2009. Detailed quantitative information on central government debt instruments is provided for 17 countries to meet the requirements of debt managers, other financial policy makers, and market analysts. Country policy notes provide background information on debt issuance as well as on the institutional and regulatory framework governing debt management policy.

Borrowing requirements by governments in Africa to finance their budget deficits are met, to a large extent, by funds raised on financial markets and by non-marketable debt via bi-lateral, multi-lateral and concessional loans. Debt management techniques and policies can influence substantially the functioning of capital markets and the development of new financial instruments. As a consequence of globalisation, cross-border government borrowings have become more significant. Government debt instruments attract both institutional and retail investors and have an important share in the portfolios of fund managers.

Government debt managers have the responsibility to issue debt instruments to meet the borrowing needs of governments, to manage the outstanding stock of debt and to contribute to the development of the market infrastructure. The type of debt instruments to be issued and the amounts to be raised depend not only on the volume of the borrowing requirement but also on the liquidity of the various outstanding instruments, preferences of investors and, more generally, on the financial and macroeconomic environment. Raising funds through marketable instruments will depend on factors such as access to well-functioning primary and secondary markets (in particular market liquidity), and the presence of well-developed market segments – institutional and retail investors.